Euronext - 2020 Universal Registration Document

Financial Statements 8 Notes to the Consolidated Financial Statements

On 28 July 2020 the Higher Court ordered Euronext: n to restore the pension reduction of 1.55% to the VPGE members; and n to pay for indexation of the VPGE member’s pensions. However, the premium is limited to 49% (42/85.2) of 8.52% of the annual pension premium. The cost that have been paid already for indexation and the missed interest (2014-2019) must be settled. From a Euronext standpoint, the Higher Court has applied the Pensions Act incorrectly and has inexplicably misjudged important facts. Euronext has lodged an appeal in Cassation before the Supreme Court on 23 October 2020. On 18 December 2020 the counterparty submitted its statement of defence including appeal in Cassation. On 15 January 2021, Euronext submitted its statement of defence against the appeal in Cassation of the counterparty. No provision has been booked in connection with this case.

On 21 September 2016, Euronext Amsterdamfiled for appeal against the decision. The grounds for appeal were filed on 6 December 2016. On 14 February 2017 claimants filed their responses and also filed for appeal against certain parts of the decision of 24 June 2016. Euronext Amsterdam has responded to the grounds for appeal raised by claimants on 25 April 2017. An oral hearing took place on 24 November 2017. The actuaries of Euronext had already calculated that the pensioners would have lower pension rights in the event that the implementation agreement would have been continued. These calculations are based on all the financial obligations of the implementation agreement and the financial position of the pension fund. Furthermore the calculations are based on the legal parameters of the Pension Act 2007, Therefore, Euronext has called for rejection of the claims of the pensioners because there is no financial loss. The pensioners have responded to this information on 23 July 2019.

NOTE 39 COMMITMENTS

39.1 Capital Commitments As of 31 December, capital expenditures contracted but not yet incurred were as follows:

2020

2019 10,740

In thousands of euros

No later than one year

931 341

Later than 1 year and no later than 5 years

189

Later than 5 years

–

–

10,929

TOTAL

1,272

The decrease in capital expenditures contracted was due to termination of the supplier contract related to the Euronext Dublin office building for which improvement projects were finalised in 2020.

39.2 Guarantees Given As per 31 December 2020, Euronext N.V. participates in a number of guarantees within the Group (see Note 59). Securities Held as Custodian In Portugal, Norway and Denmark, the Group acts as a National Central Securities Depository, operated by respectively Interbolsa, Verdipapirsentralen ASA (“VPS”) and VP Securities AS. Interbolsa As at 31 December 2020, the value of securities kept in custody by Interbolsa amounted to €384 billion (2019: €347 billion) based on the market value of shares and the nominal value of bonds. The procedures of this National Central Securities Depository are focused on the provision of notary services, central maintenance services and settlement securities services, according to the CSDR (Central Securities Depository Regulation). The settlement services, provided through T2S platform, have its risks mitigated mainly by early warning systems. The reconciliation procedures in place mitigate the major risks related to the registration of securities. 39.3

VPS As at 31 December 2020, the value of securities kept in custody by VPS amounted to €622 billion (2019: €615 billion) based on the market value of shares and the nominal value of bonds. Under the terms of Section 9-1 the Norwegian Securities Register Act of 5 July 2002, VPS is liable for losses that other parties may incur as a result of errors that occur in connection with registration activities. This does not apply if VPS is able to demonstrate that the error was outside VPS’ control. Errors on the side of the account operator are under the current law seen as being under the control of VPS, however VPS has a right to recourse from the account operator. The statutory liability according to Section 9-1, first paragraph, only applies to direct losses and is limited to NOK 500 million per claim. In case of gross negligence or wilful misconduct these limitations do not apply. The Securities Register Act stipulates that VPS’ potential liability pursuant to Section 9-1, first paragraph of the Act, must be covered through insurance, or by some other form of guarantee subject to approval by the FSA. Oslo Børs VPS Holding ASA has taken out errors and omissions insurance for the parent company and its subsidiaries, with an annual limit of NOK 1 billion and a deductible of NOK 10million per claim. VPS shares this insurance with the other

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2020 UNIVERSAL REGISTRATION DOCUMENT